Before giving you funding for a grant proposal, a benefactor has to be convinced that your project fulfills a pressing need. They need to be assured of its importance both practically and passionately.

That balance can be difficult to master. But it can be done by writing a document that serves as the rational and philosophical center of your proposal: the statement of need.

What is a Statement of Need in a Grant Proposal?

The need statement defines the situation, problem, or issue that your project addresses or solves. It spells out the situation to the foundation or agency staff who are responsible for issuing the grant. Specifically, it explains the problem at hand, its effect on the community, the benefits of solving it, and the ramifications of not solving it.

Typically, the need statement is the starting point for the grant proposal. Before the grant writer sets out what they're trying to do, it's helpful to understand the depth of the problem they want to address. The need statement establishes context for the whole proposal.

Why is a need statement for a grant proposal important? Quite simple, it tells potential funders why they should care about the issue. A good need statement inspires benefcators to be agents of change and get involved in your mission.

What Makes a Compelling Need Statement for a Grant Proposal?

The need statement is a combination of data and insight and that appeals to both intellect and emotion. An effective need statement navigates that balance to create a riveting narrative.

A succesful need statement requires:

Facts

What is the current situation that your proposed grants addresses. Explain it in detail. For example, your community may have a problem with teenage crime, and you believe building a youth recreation center will help ease the problem. Describe the known facts and current status of the issue.

Stories

The the stories of the person or group most affected by the situation. What have the experienced as a result of this problem? How has it affected them and their families on a measurable basis? A few real-life accounts will help humanize the problem and its impact.

Data

Funders want to see evidence. They need to have real and current data that shows how the problem is affecting the community. They also love comparative data that shows how your solution will work, or how similar solutions have worked in other communities.

What Should a Need Statement for a Grant Proposal Include?

Business Name

Your business should have a captivating name or title that creates interest on a wide scale. This doesn't have to be the first thing you do, but it should be the first thing listed on your need statement.

State Date

Is your business live yet? If not, when will you launch? Try to be precise - to the exact date if possible.

Problem Description

Explain the underlying problem you're concerned about - what is the situation you want to fix? It could be anything from a sidewalk in disrepair to a local housing shortage.

Who's Affected by the Problem?

Funders will want to know the poeple who are hurting most from this issue. How are they connected to the problem, and what effect does it have on their lives? Describe the people who hold the highest stakes in solving this issue.

Problem Implications

Describe what will happen if the problem is not resolved. Who will suffer the most and how will it affect your community? This point will benefit from real-world data to back it up.

Potential Roadblocks

It's important to be upfront with funders about what could go wrong with your project - everything from scheduling conflicts to public resistance and difficult approval processes. The grantor may even have ideas on how to overcome these challenges.

Sense of Urgency

Why does this solution need to happen now? Why can't it wait another minute? A good need statement will convey why the project should be a top priority, without being melodramatic or exaggerated.

Potential Outcome

What will be the result if your proposal is accepted and work is completed? What tangible benefits will occur and how will lives improve? This is the most important factor in lining grant funding - it's the result the funder wants to see come from their gift.

Statistics and Data

Where possible, every elements in this section should be supported by hard data. It should be clearly explained and easily verifiable.

Grants funders have missions uppermost in their minds - but they're also businesses (even the charities). All businesses thrive and survive on data and research. The more data you can use , the better.

Tips for all Grant Writing

Here are a few guidelines for grant writing. These don't just apply to the need statement, but to every element of your grant proposal.

Write for a General Audience

You should keep the reviewer in mind as your target audience. But aim to make your statement understandable to anyone who may be interested in the issue. To that end, avoid using insider jargon or buzzwords anywhere in your statement. A proposal filled with buzzwords is the fastest way to lose your reader's interest!

Assume the Reviewer Isn't Familiar With Your Situation

No matter how much experience the reviewer may have with issues like yours, assume they don't. Explain your story in detail, outlining the causes and conditions that have led to the problem you want to solve.

Appeal to the Heart - But Rely on Facts

A need statement is a tricky balance between emotions and intellect. While you should make a case that resounds on a personal level, let rationality drive your efforts. Avoid editorializing or sentimentalizing the issue - just explain how your situation will work.

Conclusion

The need statement is the inspirational core of your entire grant proposal. When in doubt, search for examples of need statements that have worked for other organizations and use them to create your own compelling statements and plan

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